Bank Failure Friday

September 25, 2009

Sheila got an early start this week, normally the first failures happen after 6PM EST.

#95

  • Failed bank: Georgian Bank, Atlanta GA
  • Acquiring bank: First Citizens Bank & Trust
  • Vitals: as of July 24th, assets of $2 billion, deposits of ~$2 billion
  • DIF Damage: $892 million

Yet another failure in Georgia!

3 comments

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Looks like we are going to get TARP jr.! We had too big to fail so now we are going to get ‘too small or too minority to fail. Sheesh, will the bailouts never end?

Posted by sangellone | Report as abusive

Guess we’re still stuck in that nasty Bair market.

Posted by Amandus Colver | Report as abusive

The FDIC takeover is not a bailout — it is just the opposite — it is the “closure” of 2 banks. (has absolutely nothing to do with Tarp)

Another bank may purchase the failed banks, and if not,
then the assets will be sold to another willing buyer. The FDIC will cover up to $250,000 per account (if properly vested) and those funds come from “all” Banks in a form of dues based on bank deposits.

This is the FDIC not the Fed (which is a private corporation).

Posted by ddavid | Report as abusive